Like all members of the Trump administration, Larry Kudlow is well-practiced at saying things at stark variance with reality. So you might expect some pretty spectacular social distancing from reality in the face of things like Ben Bernanke’s optimistic estimate that U.S. GDP will drop by a mere 30%, David Kostin saying stocks still might have 25% to fall, fears about how we’ll ever restart the economy, and widespread acknowledgement that we’re deeply mired in an economic contraction from old Kuddles. So, I guess, uh, credit where credit’s due?
“We are suffering through a very painful, very difficult economic contraction,” Kudlow, head of the National Economic Council, told FOX Business’ Stuart Varney on Friday. “That's the way I look at it. It's going to be temporary, but it's going to be very difficult.”
While Kudlow doesn’t see the situation improving immediately, he says conditions may get better in the next four to eight weeks.
Kudlow: US economic recovery may start in 4-8 weeks [Fox Business]
WSJ Survey: Coronavirus to Cause Deep U.S. Contraction, 13% Unemployment [WSJ]
Bernanke rejects Great Depression comparisons as he says GDP could slump by 30% [MarketWatch]
Goldman analyst who predicted the coronavirus would kill the bull market says ‘risk to the downside is greater’ despite Dow’s recent rally [MarketWatch]
Government and Businesses Turn Attention to Eventual Reopening of $22 Trillion U.S. Economy [WSJ]